Pixelworks Inc. reported its second quarter financial results, which were in line with the company's guidance and expectations for a sequential increase in revenue. The gross margin for the quarter exceeded initial forecasts, contributing to improved operating results both sequentially and year-over-year. The company continued to benefit from previously implemented measures aimed at reducing operating expenses and streamlining its cost structure. As part of its strategic initiatives, Pixelworks is evaluating non-binding term sheets from multiple third parties regarding interest in its Pixelworks Shanghai subsidiary.